Virtual currency has advantages and disadvantages. Let’s take Bitcoin as an example to explain:

Advantages of Bitcoin:

Free payment? - Anytime and anywhere Any amount of funds can be paid and received instantly anywhere. No bank holidays, no borders, no imposed restrictions. Bitcoin allows its users to have complete control over their funds.

Extremely low fees? - There are currently no or minimal fees for processing Bitcoin payments. Users can include handling fees in transactions to gain processing priority and receive transaction confirmations from the network faster. In addition, there are merchant processors that assist merchants in processing transactions, converting Bitcoin into fiat currency every day and depositing funds directly into the merchant's bank account. Because these services are based on Bitcoin, they can offer far lower fees than PayPal or credit card networks.

Reduce risk for merchants? - Bitcoin transactions are secure, irrevocable, and do not contain sensitive or personal information of customers. This avoids merchants losing money due to fraud or fraudulent chargebacks and eliminates the need to comply with PCI standards. Merchants can also easily expand into new markets where credit cards are unavailable or where fraud rates are unacceptably high. The end result is lower fees, a larger market, and fewer administrative costs.

Security and Control? - Bitcoin users have complete control over their transactions; merchants cannot impose unnecessary or undetectable fees that may occur with other payment methods. Paying with Bitcoin eliminates the need to tie personal information to the transaction, which provides great protection against identity theft. Bitcoin users can also protect their funds through backup and encryption.

Transparent and neutral? - All information about the Bitcoin funding supply itself is stored on the blockchain and can be inspected and used by anyone in real time. No individual or organization can control or manipulate the Bitcoin protocol because it is cryptographically protected. This allows Bitcoin Core to be believed to be completely neutral, transparent, and predictable.

Bitcoin Disadvantages:

Acceptance? - There are still many people who are unaware of Bitcoin. More businesses are accepting Bitcoin every day because they want to benefit from it, but the list is still small and more businesses still need to support Bitcoin in order to benefit from the network effect.

Volatility? - The total value of Bitcoin in circulation and the number of businesses using Bitcoin are still very small compared to their possible size. Therefore, relatively small events, transactions or business activities can significantly affect its price. In theory, this volatility will decrease as Bitcoin's market and technology mature. The world has never seen an emerging currency before, so it's really difficult (and exciting) to imagine how it will progress.

In development stage? - Bitcoin software is still in beta version, and many unfinished features are in the active development stage. New tools, features and services are being developed to make Bitcoin more secure and accessible to the wider public. Some of these features are not currently available to every user. Most Bitcoin businesses are new and do not yet offer insurance. Generally speaking, Bitcoin is still in the process of maturing.

The same is true for other well-known virtual currencies (for example, Fuyuan Coin, Litecoin, Dogecoin, etc.).